RIVERWOODS, Ill.--(BUSINESS WIRE)--Three out of four consumers, 73 percent, say they are aware of their
credit standing and 61 percent say their credit standing is important to
them right now, but far fewer check their credit score more than once a
year, according to a recent independent survey commissioned by Discover.

Asked how many times they checked their credit score within the past
year:

28 percent of respondents said they didn’t check their score at all
during the prior year

21 percent checked once

25 percent checked 2-3 times

12 percent checked 4-6 times

6 percent checked 7-11 times

8 percent checked 12 or more times

“Consumers have come a long way in recent years in building awareness of
their credit score and the ways in which it can impact their day-to-day
life,” says Ryan Scully, Discover’s vice president of marketing. “The
next step for many is to stay on top of their credit standing throughout
the year. By regularly checking their score—if not monthly, then at
least every couple months—consumers can gain valuable insight into the
factors that affect their score, which in turn can help them make
smarter financial decisions.”

The survey found that those who checked their credit score most often
during the prior year were more likely than those who checked their
score less often to say that checking their score had a positive impact
on their credit behavior, such as paying bills on time, paying down
loans and maintaining low balances on their credit cards.

In fact, 70 percent of those who checked their credit score 12 or more
times during the prior year, or an average of once per month, say that
checking their score had a positive impact on their credit behavior.
That figure compares to:

63 percent of those who checked their score 7-11 times

52 percent of those who checked their score 4-6 times

48 percent of those who checked their score 2-3 times

31 percent of those who checked their score 1 time

Those who checked their credit score most often were also more likely to
report improvements to their score. The survey found that those who
checked their score 12 or more times during the prior year were nearly
twice as likely than those who checked their score just once to say that
their score improved greatly or slightly over that same time period, 61
percent to 32 percent, respectively.

Most Check Their Score to Improve or Maintain Their Credit

Among those who checked their credit score during the prior
year—regardless of how many times—39 percent said the leading motivation
to check their score was to improve or maintain it. That was followed by
18 percent who checked their score out of concern for fraud or identity
theft; 17 percent who checked out of curiosity; and 12 percent who
checked before making a major purchase or applying for a loan or credit
card.

Among those who had not checked their credit score during the prior
year, 48 percent said the main reason they didn’t was because there was
no need to check it. Other reasons included hesitancy to share personal
information, 18 percent; not wanting to pay to check it, 17 percent; and
not knowing how or where to check it, 13 percent.

“We launched CreditScorecard.com last year to ensure that everyone,
including those who are not Discover customers, have access to their FICO®
Credit Score1 for free,” says Scully. “The platform is easy
to use, simple to understand and provides insights into many of the
factors that contribute to one’s credit score.”

Millennials Are Less Aware of and Place Less Importance on Their
Credit Standing Compared to Generation X and Baby Boomers

Millennials place less importance on their credit standing than other
generations. Among millennial respondents, 54 percent say their credit
standing is important to them right now, compared to 63 percent of
generation X and 65 percent of baby boomers. Millennials are also
significantly less aware of their credit standing than their
generational counterparts, as only 57 percent of millennials say they
are aware of their credit standing, compared to 74 percent of generation
X and 85 percent of baby boomers.

While 80 percent of baby boomers and 62 percent of generation X think
their credit standing is within their control, only 51 percent of
millennials think so.

However, millennials’ knowledge and understanding of their credit scores
may soon be on the rise. The survey found that among those who checked
their score within the past year, a higher rate of millennials, 54
percent, say that checking their score had a positive impact on their
credit behavior, compared to 48 percent of generation X and 41 percent
of baby boomers.

“One of the best pieces of advice I can offer young consumers is to get
on top of their credit standing early and often,” says Scully. “Don’t
wait to check your credit score until just before you’re ready to make a
big purchase or apply for a loan. If you get in the habit of checking
your credit score at a young age, you can start learning about and
building the types of credit behaviors that can, over time, contribute
to a healthy credit score.”

About the Survey

All figures, unless otherwise stated, are from a YouGov Plc survey
conducted on behalf of Discover Financial Services. Total sample size
was 2,186 adults (ages 18+). Fieldwork was undertaken March 15-16, 2017.
The survey was carried out online. The figures have been weighted and
are representative of all U.S. adults. The maximum margin of sampling
error was ±2 percentage points with a 95 percent level of confidence.

About Discover

Discover Financial Services (NYSE: DFS) is a direct banking and payment
services company with one of the most recognized brands in U.S.
financial services. Since its inception in 1986, the company has become
one of the largest card issuers in the United States. The company issues
the Discover card, America's cash rewards pioneer, and offers private
student loans, personal loans, home equity loans, checking and savings
accounts and certificates of deposit through its direct banking
business. It operates the Discover Network, with millions of merchant
and cash access locations; PULSE, one of the nation's leading ATM/debit
networks; and Diners Club International, a global payments network with
acceptance in more than 185 countries and territories. For more
information, visit www.discover.com/company.

1FICO® Credit Scores provided by Credit Scorecard
are based on data from Experian and may be different from other credit
scores. See Discover.com/CreditScorecard to learn more. FICO is a
registered trademark of the Fair Isaac Corporation in the United States
and other countries.